Vietnam offers a young, fast-growing manufacturing and tech workforce with codified labour rules. All-in employer cost runs around 1.22x the gross salary. Here is what to know before your first Vietnamese hire.
Employment runs under the 2019 Labour Code, with compulsory social, health, and unemployment insurance and written contracts. A Tet (Lunar New Year) bonus is customary, and probation is short and capped.
Employer compulsory-insurance contributions add about 21.5% on top of gross salary across social, health, and unemployment insurance.
Social and health insurance apply up to salary caps tied to the base and minimum wages, so contributions plateau for higher earners.
Employees pay personal income tax on a progressive scale plus their insurance share, withheld at source. Withholding is the employer's responsibility, which under EOR means ours.
*All figures are estimates from public sources (2025-26), pending ops verification - same basis as the EOR cost calculator. Not tax or legal advice.
Compliant Vietnamese labour contract, payroll, and compulsory insurances, handled. One invoice, flat $499 per month.